Alphabet’s stock jumped nearly 5% in its debut on the Dow Jones Average as the index closed above 52,000, yet shares are down about 8% this month, marking its worst monthly performance since February 2025. Investors remain concerned over AI execution even as semiconductor stocks rally on US-Iran ceasefire.
The Dow Jones Average rose 306.63 points (0.59%) to 52,182.74, closing above 52,000 for the first time as Alphabet replaced Verizon in the index. The inclusion of Alphabet carries symbolic weight but limited forced buying since it already trades in the S&P 500 and Nasdaq 100.
Alphabet shares climbed nearly 5% in their inaugural Dow session but remain down about 8% in June, marking the worst monthly drop since February 2025 with six weekly declines. Investor focus has shifted to the company’s AI execution amid mixed sector sentiment.
The VanEck Semiconductor ETF gained over 3%, led by Astera Labs (+16%), KLA (+12%) and Applied Materials (+11%). Market optimism was bolstered by a US-Iran pause in hostilities, allowing commercial vessels safe passage through the Strait of Hormuz and easing geopolitical risk.
